Bitcoin Investors Ready To Deploy $25,000,000,000 Once Bottom Is In,

[Freeveto]

According to Quant Analyst, Crypto Investors Ready To Deploy $25,000,000,000 Once Bottom Is In.

On-chain insights platform CryptoQuant CEO Ki Young Ju says crypto investors did not leave the market despite this year’s downturn.

Ju says investors have $25 billion worth of stablecoins in exchanges that they can deploy once they are again ready to buy crypto.

“Stablecoins sitting in exchanges are now worth half of Bitcoin reserve.
 We have $25 billion loaded bullets which can make crypto asset prices go up. The question is when, not how.”
Mahmudo says the BTC/USD chart suggests crypto is bottoming out while stablecoins are overbought.

“USDT+USDC / TOTAL under the BTCUSD chart.
Bottoming zone, again.

Stables overbought, crypto oversold.

Important to note that we are in a different monetary regime, so caution must be exercised, but this is where we stand on this multiyear structure.”
Source
https://dailyhodl.com/2022/07/01/crypto-investors-ready-to-deploy-25000000000-once-bottom-is-in-according-to-quant-analyst/

[hZti]

Im saure teh general message is right, that there are massive amounts of money that are waiting to be put back in the market. For a lot of this money there is not really even another option, since there would be a huge amount of taxes that the owners would have to pay if they cash out to fiat currency. However I think it is not right to say that a stablecoin can be overbought. This suggests that there is some kind of technical analysis involved that would point at some chart pattern where you can see that stable coins will no be put back into crypto. This is simply not true since the price is always the same for stable coins and there is an unlimited supply of each stable coin, that adapts to the demand. So by concept a stable coin can never be overbought because then there is simply more of it generated.

[Yaunfitda]

So they will have to time the market before they make that huge investment? But we all know that it's hard to do, maybe $17,500 is already the bottom for all we know.

But not sure about it though, how accurate the amount it, probably this is just random numbers being thrown specially that we are in a bear market. But if I have that huge money, I would have invested already around $17k-$19k, no need to wait for the bottom.

[DapanasFruit]

Yeah, this is right. Investors are just waiting on the sideline looking and analyzing if Bitcoin has already bottomed all because they hate to be trapped with their money. Surely, once they can see that the reversal mode is on they would immediately jumped on the board and then we can see the rise of BTC again. As of now, this is not yet happening so it is true this is a question of WHEN and not of HOW nor IF.

[danherbias07]

Always and will always be the same question. When? Wish it will soon.

Let's just hope they put it at the right crypto. Because one mistake could ruin all the savings that were being kept in stablecoins. I am not a hardcore Bitcoin holder but I do think most of that funds should go to Bitcoin because other coins will be easily pulled up whenever it pumps.
Investors will most likely FOMO and get their investment back at their preferred altcoin, so it's a win at both ends.

[sbrys]

You always wonder where they get these numbers

I agree on the principle but the amount is basically just shouting something

[pooya87]

The problem with this conclusion is that a much bigger portion of stablecoins are actually used for altcoin trading not bitcoin trading which means they got out of shitcoins because they got dumped harder and are staying in other shitcoins like USDT waiting for the pumps to begin. Otherwise a large number bitcoin users who sold their bitcoin on bitcoin exchanges used fiat and those amounts can not be tracked.
Otherwise there is no doubt that at times like this when newbies are panicking, a lot of money is waiting on the sidelines to jump in bitcoin.

[dansus021]

if all the stablecoin was used to buy crypto it might will happened. but if not hahah and we can see the stablecoin supply decrease after what happened to LUna, crypto right now might is oversold but we can't see the future I hope the whale buys more hahah maybe we small investor wait and see if bitcoin price stable at 30K maybe bitcoin can rising more

[lovesmayfamilis]

In JPMorgan's opinion, the fall of the crypto market should stop short, but this does not guarantee a speedy recovery. The significant fact is that investors will be able to contain further declines, and venture capital companies that have invested in the last two months are an example. And also, the fact that many have not left the crypto market means that bitcoin has not lost its significance, and people continue to believe in it, waiting for a better chance to invest at a better price.

[franky1]

article is misleading.

first it calls the events of the $70k-$17k a recession.. sorry but no, just no

the $70k was not a point of value that was suppose to remain last year. it was a inflated speculative bubble number.. the actual value is not at the $70k, but at the other end under $20k

the underlying value is not price. its a separate thing. and it does not move at the same rate as the price. its slow and progressive underneath all the speculative sentiment of price discovery..

the move back down to value was not a crash, but a return to value from a premium

the risk zone is not at this nice value amount now. the risk zone that would hurt most people was at the inflated bubble top.
it takes time for the real underlying value to progressively increase due to deflation. so all the speculative prices above value are just that the speculative vapour premium foam. the ATH was not bitcoins value of 2021-22

the underlying value was not ready to be near $70k .. YET (have patience)

..
that said even with bitcoins price averaging $20k more recently it then suggests that there are twice as many fiat in exchanges then there are btc.. trying to suggest subtly(saying it without actually wording it) the bottom is half the amount of current prices.. this is another mis-lead

exchanges are not purely BTC-USD.. they do altcoins also. so they need to account for the altcoin hoard in exchanges aswell to see how much USD is shared across the markets ready to buy, to then get to a better figure of where the amount of USD is that will probably go to BTC. and i guarantee you its not all waiting for a bottom that is half the current. they are waiting for other indicators much higher

[sbrys]

You always wonder where they get these numbers

I agree on the principle but the amount is basically just shouting something

You can see it easily when you view the exchange USDT balance on there hot wallet. They see it sitting there and that’s why they conclude because the 25B USDT will not be there if investors decided to convert to fiat because it will burned out of the tether supply since each tether is just mint because they paid fiat in exchange for tether and they need to burn the tether if they want to get back there cash. That’s the simple logic behind this stuff.

I’m not sure if it’s that easy to know what the wallets of all exchanges are. Moreover it’s unclear who is the balance owner at that time. Could be the exchanges or issuers themselves.

[livingfree]

What we know is that there will always be those investors that are always prepared for every assumed bottom gets in.

if all the stablecoin was used to buy crypto it might will happened.

That's actually the purpose of stable coins. Most of those that have been saved there are from the profits made during the last bull run.

but if not hahah and we can see the stablecoin supply decrease after what happened to LUna, crypto right now might is oversold but we can't see the future I hope the whale buys more hahah maybe we small investor wait and see if bitcoin price stable at 30K maybe bitcoin can rising more

It can go up and more than what you've said. The cryptos like Luna and UST, everyone is going to be fully aware of it and will avoid those projects that are likely those.

[Lucius]

Nothing more than cheap PR for another company that wants to impose itself on the crypto analytical market. I hope that all these investors know that all these stablecoins are not really theirs and that they can be frozen at any moment if old Biden and his administration at some point start dealing with some new threats to national security.

Besides, who says that these investors will only buy Bitcoin?

[Zlantann]

In JPMorgan's opinion, the fall of the crypto market should stop short, but this does not guarantee a speedy recovery.

JPMorgan's prediction might be true because most crypto platforms are taking necessary steps to build back clients confidence on the sector. FTX is leading the drive to ensure that Crypto lending platform bolster their balance sheet and platform strength. FTX recently gave BlockFi a $250 million revolving credit facility which would help the crypto lending firm to deepen its financial relationship with its clients and attain stronger balance sheets. The proceeds will be used to fulfill client balances across all accounts. Last month, crypto broker Voyager Digital (VOYG) secured a revolving line of credit with Bankman-Fried-founded quant trading shop Alameda Research. The loan of $200 million cash/USDC-backed credit facility and 15,000 BTC is to safeguard its customers’ assets from current bear market conditions. Some other crypto firms have been forced to liquidate a large client that “failed to meet its obligations on an overcollateralized loan. While others are cutting workforce just to ensure that they cut expenses and stabilize the company’s financial conditions.

[Mauser]

Wow 25bn USD is a lot of money to buy bitcoins with. I am wondering how high the bitcoin price would jump if all that money comes on the market in one day go buy coins. I remember reading somewhere that the average 30 day volume in the bitcoin market is around 20-25bn USD. So that would mean we could see a huge spike in trading volume which should influence prices heavily. And once we see a lot of new buyers in the market I am sure that others will follow to not miss out on the next rally. The only question remains are we really at the bottom. I really hope so, but the news about a possible famine due to the Ukraine Russia war keep me worried.

[PrivacyG]

Doubt all this money will go into Bitcoin investments and I also doubt most of it comes from Bitcoin sells.  Bitcoin has only dropped three times.  Many of the Altcoins have dropped more than 10 times their All Time High.  I can only assume someone would rather drop out of their 98% loss than out of their 60 to 70 percent Bitcoin loss.  Moreover.  It is not at all like everyone is going to purchase Bitcoin with those $25 billion.  Altcoins always seemed like a 'better' investment to people.

-
Regards,
PrivacyG

[jackg]

Wow 25bn USD is a lot of money to buy bitcoins with.

That was just a message about stablecoins too (and it mightve just been usdt as there were reports a lot of usdc had been minted during the crash).

This also doesn't include the money people have withdrawn in fiat (which a lot of people have probably done to be able to invest in stocks and funds).